• by Gavin O'Malley  @mp_gavin, March 16, 2011

With 35 hours of video uploaded to YouTube every minute, Google's video hub isn't hurting for content. Along with its questionable taste, however, much of the video's poor quality has deterred advertisers from spending more on the site. 

Addressing the quality issue, Google has acquired digital video technology startup Green Parrot Pictures. Financial terms of the deal were not disclosed.

Founded by Anil Kokaram, associate professor at the engineering school of Trinity College in Dublin, Ireland, Green Parrot Pictures has spent the past six years building video quality improvement technology, which has already been used in major studio productions, including "X Men," "Lord of the Rings" and "Spider-Man."

"Their technology helps make videos look better, while at the same time using less bandwidth and improving playback speed," said Jeremy Doig, director of Google Video Technology.

With the equivalent of over 170,000 full-length movies uploaded to YouTube every week, Doig said he expects Green Parrot's technology will be a source of new ideas and further innovation at YouTube and across Google.

"Some videos are beautifully shot by professionals or aspiring filmmakers using the very latest in HD cameras and equipment," Doig said of YouTube's content offers. "But some of YouTube's most popular or moving videos are shot using low-quality mobile phones and video cameras."

The Green Parrot deal comes on the heels of Google's acquisition of Next New Networks. Per the deal, the video production company was expected to form the nucleus of YouTube Next -- a team tasked with fostering the creation of original content, its monetization and the development of complementary services and initiatives.

Thanks largely to YouTube, Google display ads achieved a $2.5 billion run-rate in 2010. Looking into the future, YouTube is betting a larger pool of experienced content creators will spawn continued interest in the platform.

YouTube Next-branded programs build off past partner development initiatives, like the Partner Grants Program, which advanced partners' funds based on future YouTube revenue shares.

YouTube's partner program, which grew to more than 15,000 members in 2010, put the spotlight on original content in exchange for pairing the videos with display ads.